Outline how business models put strategy into action.
■ The translation of a firm’s strategy (where and how to compete for competitive advantage) into action takes place in the firm’s business model (how to make money).
■ A business model details how the firm conducts its business with its buyers, suppliers, and partners.
■ How companies do business is as important to gaining and sustaining competitive advantage as what they do.
■ Some important business models include razorrazorblade, subscription, pay as you go, and freemium.